This paper aims at building bridges between evolutionary microeconomics and the structuralist theory of economic development, trying to combine both approaches in
a systematic way. It is suggested that reducing the technology gap requires persistent supply side efforts for adapting and improving the use of capital equipment and the
sequential development of various forms of tacit and incremental learning, associated with the transfer and acquisition of foreign technology. In addition, the expansion of employment along with labour productivity is related to the diversification of the economy, the expansion of high-tech activities and exports and the consequent dynamism of domestic and international demand. The paper argues that technological and industrial
policies should take into consideration both dimensions of the development process.

This paper aims at building bridges between evolutionary microeconomics and the structuralist theory of economic development, trying to combine both approaches in
a systematic way. It is suggested that reducing the technology gap requires persistent supply side efforts for adapting and improving the use of capital equipment and the
sequential development of various forms of tacit and incremental learning, associated with the transfer and acquisition of foreign technology. In addition, the expansion of employment along with labour productivity is related to the diversification of the economy, the expansion of high-tech activities and exports and the consequent dynamism of domestic and international demand. The paper argues that technological and industrial
policies should take into consideration both dimensions of the development process.